i'd love to be in a position where a car wasn't a necessity - but out here, PT isn't an option for most things - if you don't have a car, you have to rely on taxis. and they are a damn site more expensive long term! for some people, buying a car outright isn't an option. the car we're about to sell was bought outright only because my brother owed us money and i called him to help. we were in the middle of selling our house to move, had zero spare cash, DH had just lost his job, and the car we had was totally unsafe for anyone to use. so yes, we got that one outright, but if the only way to get a car that is safe is to take out a loan, i don't see a problem with it. i'd rather get a $5000 car on a loan than a $500 one that is roadworthy only because someone knows someone that will overlook those things that will make it unroadworthy if it's driven again...